The ILO Social Security Inquiry | SSI Florence Bonnet Social - - PowerPoint PPT Presentation

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale

Ottawa, Canada. – le 16-18 septembre 2009

The ILO Social Security Inquiry | SSI

Florence Bonnet Social Security Department International Labour Office (ILO)

Steve Brandon

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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The Social Security Inquiry | Outline

 Why | Main objective and rationale  What & How | Screen shots: “a guided tour in the inquiry”  What for | A selection of possible “outputs”  Current situation & challenges

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Why | The ILO Social Security Inquiry Main objective

 Building a knowledge base at the global level

 Objective: Collect, store and disseminate, on a regular and

sustainable basis, comparable statistics on the financing, expenditure, benefit levels & coverage of social security systems/programmes.

 Collected information should

 Allow calculation of indicators for specific social security schemes and selected aggregate indicators at national level for as many countries as possible;  Constitute a basis for analysis within the framework of studies and research work;  Contribute to measure progress towards decent work with respect to its social security dimension;  Be accessible to internal and external users but regulated (different access according to category of users)

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Why | The ILO Social Security Inquiry Rationale

 Address the lack of (comparable) social security statistics outside the OECD world  Follow up to the ILO inquiry into the Cost of Social Security, with a broader focus, as

 It encompasses contingencies, risks and needs classified in C102  It includes financing & expenditure data as well as data

• n coverage of the population and benefits levels

 Systematic approach compatible with existing statistical frameworks used in the EU (ESSPROS) and the OECD  Part of an integrated approach to capacity building and awareness raising with activities at the country level

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | The ILO Social Security Inquiry Scope of the Inquiry

 Includes data on

– Expenditure and revenue at national level and scheme level – Coverage and benefit levels – Some background information

 Covers both statutory schemes and some non-statutory schemes such as micro-insurance schemes.  Type of data: Data collected at the scheme level from social security institutions which administer the scheme  Functions covered

– Old age; disability; survivors; sickness and health; unemployment; employment injury & occupational disease; family/children, and maternity. – Supplemented by housing; basic education; other income support and assistance (n.e.c.) /social exclusion

 Focus on developing countries (EU and OECD countries being covered by existing databases — expenditure data at least)

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | The ILO Social Security Inquiry Main “complementary” channels for data collection

 Channel 1 | Data collection at the country level

– Ideally: direct entry online by social security institutions – Reality: National coordinator contacting social security institutions to required detailed data or data collected in the context (e.g. Ukraine, Senegal), of specific projects (eg. Zambia, Tanzania)

 Channel 2 | Including data from available international and national sources and promoting the use of the social security inquiry methodology and tool by other organisations (ISSA, ADB,

• thers)

– Data from the ISSA statistical database on social security in developing countries included in SSI – ADB Social Protection Index data – Data available in annual or statistical reports of national social security institutions

 Channel 3 | “Automatized” import from existing international

databases: ESSPROS, SOCX

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | The ILO Social Security Inquiry

Data dissemination | Differentiated access

 Differentiated access to the database

– Public mode versus restricted (username and password) mode – The login and password determine the list of countries, the list of schemes, the functions and the type of data which are accessible for the user

 Data can be disseminated depending on countries’ preferences

– Only National aggregates – Or data aggregated by functions; schemes or groups of schemes

 Scheme data are by default visible only in restricted mode  the set of core indicators & the list and description of schemes are in public access

– Aggregates at the national level – No direct link with individual schemes’ data

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | Screen shots: “a guided tour in the inquiry” Levels of information & sources

Automatic calculation of indicators

 What?

 Economic & financial

information

 Population & Employment

 Used as denominator for indicators

 Social security expenditure &

revenue (IMF, ESSPROS)  Sources

 International data sources

(automatic insertion)

 National sources

National level Core data in SSI Individual scheme data Social security institutions  Data entry online possible Scheme level

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | Scheme level data Core element of the database

Step 1 |

Inventory of social security schemes and definition of each scheme

» Name, type of scheme, Contributory | non contributory, Private | public

Step 2 |

General information at scheme level

» Target groups » No. of affiliated members, active contributors & Avg. gross earnings by age and sex » Expenditure at the scheme level | Benefits (cash, in kind, rerouted social

contributions), Administration cost, Transfers to other schemes, Other expenditure

» Revenue at the scheme level | Social contributions (employers,

employees/protected persons, rerouted contributions); General government contributions; Transfers from other schemes; Other receipts

Steps 3 & 4 | Benefits inventory & definition of benefits

» Benefit expenditure » Beneficiaries by age group and by sex » Level of benefit by age group and by sex

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | Inventory of schemes | Tanzania

First part: Textual information & direct links Description of the scheme including information from SSPTW First part: Textual information & direct links Description of the scheme including information from SSPTW Second part: Quantitative information at the scheme level Target group, Affiliated | active contributors, Expenditure & Revenue Third part: Benefits provided by the scheme (beneficiaries, expenditure and benefit level)

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | Scheme level: Affiliation, active contributors & expenditure | Tanzania NSSF

Affiliation and active contributors to the NSSF Expenditure |National Social Security Fund

STEP 2 | Scheme level data

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What | Benefit level: Expenditure & beneficiaries Tanzania NSSF — Old age pension

A benefit is defined by:

• The function (or social security

branch) covered: old age, survivors,

maternity, etc.

• Basic or supplementary benefit
• The periodicity: (periodic or not)
• The type: cash or in kind
• Beneficiaries: individuals or

households

• Means-tested or not

STEP 3 | Benefits of the scheme Beneficiaries by sex and age group | NSSF old age pension

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What for | The ILO Social Security Inquiry

Main outputs

Expected output

Access Status

• 1. Overview of

social security provision at the country level

• 2. Comparison

between countries

• 3. Scheme level

indicators

• 4. Export of raw

data

 Automatic calculation of aggregate indicators from scheme and national level data. Accessible directly through the database online  Consultation of all available indicators for a given country (to be finalized) and exported in pdf format.  List and description of existing schemes in the country

Free

X

Free

X

Comparison of levels and trends for a given indicator between countries. Export in Excel of raw data by scheme Other exports to be developed

Restricted

X

Specific indicators for a given scheme: composition of expenditure, revenue, trends & levels of coverage, etc.)

Restricted

To be done

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What for | Indicators at the national level

Systematic calculation of a set of aggregate indicators

 Expenditure indicators (30 indicators in total), such as – Total social security expenditure in % of GDP | total public expenditure – Expenditure by social security branch  Coverage indicators by function (or social security branch) – around 10 indicators per social security branch – Protection indicators (contributors and affiliated), such as: Trends in the number of active contributors in proportion of the working age (or economically active population) by function – Recipients indicators (beneficiaries) Trends in the number of beneficiaries for a given contingency (e.g. Old age pensioners (at all ages or above retirement age) as a proportion of elderly population (%))  Depending on data availability and type of indicators

• Trends from 2000 to 2008
• Results for total and by sex

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What for | Indicators for a given scheme under development for systematisation

 At the scheme level, given the available data, the following types of indicators can be calculated

• Expenditure & income indicators at the scheme level

Composition of scheme expenditure and how much is spent on administration Composition of the income of the scheme (contribution, investment, other)

• Coverage indicators at the scheme level
• Evolution of the number of contributors of the scheme (total

and by sex)

• Evolution of the number of beneficiaries of the scheme by

function (by sex and age group)  Under development and open for discussion and suggestions taking into account social security institutions’ needs and consistency with existing initiatives (ie barometer)  Dissemination: restricted access

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What for | Indicators — Example of aggregate indicator

Old age pension recipients in percentage of population above retirement age

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What for | Indicators — Multi-country comparisons

Old age pension recipients in percentage of population above retirement age

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What for | Indicators

Old age pension coverage (contributory & non-contributory schemes)

Old age coverage < 20%

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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75.4 77.4 66.8 62.3 63.8 40.3 34.4 31.9 26.1 42.0

72.4 65.3 35.1 48.4 28.1 17.8 24.3 18.7 3.9 25.8

10 20 30 40 50 60 70 80 90 100

North America Western Europe CIS Central and Eastern Europe Latin america and the Carribean Middle East North Africa Asia and the Pacific SoS Africa Total

Percentage of the working age population

OLD AGE LEGAL coverage in % of working age | All programmes OLD AGE LEGAL coverage in % of working age | Contributory (without voluntary) Voluntary coverage for self-employed Effective Old age coverage in % of the working age | Contributory schemes

What for | Indicators and further analysis

Old age legal and effective coverage (active contributors) in percentage of the working age population – weighted average by region

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

What for | Indicators and further analysis

Unemployment | From legal to effective coverage

No statutory unemployment scheme

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Current situation |

The database, central point for integration

 The central point for integration of part of more specialized departmental databases (micro insurance, actuarial activities, textual social security information)  Aim to become a Common Database (non ILO « limited ») and available for data collection and dissemination through alliances and partnerships with other Organizations  Significant recent expansion thanks to joint efforts with the inclusion of ISSA, ADB and OECD countries  Including OECD countries, SSI includes nearly 100 countries with “some” data

– More data on expenditure | Less on coverage & benefit level – No coverage information on health care – Only a few countries with an overall picture of all schemes and for several years

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

Current situation | Countries covered & main sources

OECD & Eurostat  Benefit expenditure from OECD SOCX database  Expenditure & Revenue from Eurostat (to be included)  No data on coverage ADB | Social Protection Index (25)  Data on expenditure & beneficiaries  Comprehensive overview for

• ne or two years

 Issues: update and find more detailed information

National coordinator & Other sources  National coordinator contacting and collecting data directly in social security institutions &  Other sources: social security institutions’ annual and statistical reports & websites  Data collected in the context of specific projects

ISSA countries (25)

 Source: ISSA statistical database on social security in developing countries.  Long term benefits (main schemes) & in some cases employment injury  Public scheme(s) & compulsory statutory schemes  When possible, completed with national available data.

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Current Situation Challenges concerning administrative data

 Production & quality of statistical information in particular in developing countries – Availability of data – Ability of the country to provide good quality data

Absence of information system and systematic data collection, lack of resources

 Fragmentation of interventions

– Multiplicity of actors and higher share of non governmental interventions (especially in developing countries)

High level of informality => high proportion of population not covered by formal public schemes and higher share of non-governmental interventions

 Deficit of coordination & network of social protection providers and social protection statistics providers at the national level

 Difficult to get a global view at the national level on:

 Social protection programmes  Expenditure  And even more on coverage

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Current situation Strategy options

 Build on existing data and gradually improve the knowledge base  Contribute to build capacity at the national level

– In countries where statistics are available, activities focus on analyzing data to help countries i) Support to define their social protection policies and ii) Support to improve the effectiveness of existing schemes and extending their scope – In developing countries the priority is to improve the capacity of member States to generate and use data at the scheme level and to generate comprehensive social security data at the national level

 Develop and test some complementary tools, in particular social security oriented modules of questions in household surveys (HBS, LFS) to complement data on coverage (ongoing project)

 Combine efforts | develop partnerships and set up agreed and shared methodologies

In concrete terms ─ to do it with others and make the non ILO-limited Social Security Inquiry effective and sustainable ─ to build a network of collaborators: you are all welcome to be part

• f it

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Merci….. Thank you

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Useful links

 ILO social security inquiry

– In limited access http://www.ilo.org/dyn/ilossiadmin/ Please ask for a specific username and password – In free access: aggregated indicators http://www.ilo.org/dyn/ilossi/

 Other SECSOC databases

– Micro-insurance scheme database http://www.ilo.org/gimi/ – Social security and associated databases http://www.ilo.org/public/english/protection/secsoc/ areas/stat/sso.htm

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

Countries covered by the Social security inquiry [1]

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

Countries covered [2]

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What for | Indicators and further analysis

Percentage of unemployed receiving unemployment benefits

10 20 30 40 50 60 70 80 90 100 Germany Austria* France Sweden Barbados Australia Netherlands Spain Denmark Uzbekistan United Kingdom** Luxembourg Finland Ireland* Latvia Hungary Canada Iceland New Zealand Korea, Republic Bahrain United States Czech Republic Estonia Ukraine* Montenegro Lithuania Israel Croatia* Russian Bulgaria Hong Kong China Japan Armenia Slovenia Moldova, Rep. Of Romania Belarus Turkey Chile Mongolia Aruba Brazil Thailand Poland Azerbaijan Serbia Uruguay South Africa Argentina Tajikistan Slovakia Macedonia Albania Kazakhstan Algeria Mauritus Viet Nam

Unemployed receiving unemployment benefits - non-contributory (%) Unemployed receiving unemployment benefits - contributory (%)

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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What is defined as social security = social protection?

 All interventions from public or private bodies intended to relieve households and individuals

• f the burden of social risks or needs.

 Interventions to replace lost income but also to help where there is a lack of income  Interventions are mostly in the form of transfers with no reciprocity

16e Conférence internationale des actuaires et statisticiens de la sécurité sociale Ottawa, Canada. – le 16-18 septembre 2009

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Social protection – social security types of interventions

 Informal and formal social protection  Private and public  Social insurance - income replacement  Income support, minimum income guarantees  Transfers in kind: social services - like basic education or health care but also employment services and labour market programmes  Transfers in kind: re-imbursements  Subsidies  Tax benefits – exemptions for social reasons